Hyundai Eyes Role In Indonesia’s National Car Plan

Indonesia’s ambition to build its own national car is moving closer to reality and Hyundai Motor Group may soon be part of the journey.

Coordinating Minister for Economic Affairs Airlangga Hartarto said the South Korean automaker had expressed strong interest in joining the project during talks with Hyundai Motor President Sung Kim in Gyeongju, South Korea, held on the sidelines of the APEC ministerial meetings.

“Hyundai has shown strong interest in participating in the national car development project that the government is working on

“This collaboration will cement Indonesia as an epicentrum of the automotive industry’s growth in Southeast Asia," Airlangga said in a statement. 

He further stated that discussions also touched on hydrogen-powered vehicles. 

“We see huge opportunity in a partnership on developing cars that run on hydrogen and other clean energy sources,” Airlangga added.

The meeting came just days after President Prabowo Subianto announced plans to produce Indonesia’s first fully homegrown car within three years.

"We will have Indonesian-made cars within three years from now. I have allocated the funds. We've prepared the land for the manufacturing facilities. The team is working on it now,” Prabowo said on Oct 20.

The government is considering designating the project as a strategic national project (PSN), which would give it fast-track status and additional support.

Hyundai is no stranger to Indonesia’s automotive landscape. 

The firm runs a major production plant in Cikarang, West Java, and partnered with LG Energy Solution and Indonesia Battery Corporation to open Southeast Asia’s first EV battery cell plant in Karawang.